Suppose a firm has an investment project which will cost $200,000 and result in $30,000 profit. The firm will not undertake the project if the interest rate is
A) greater than 15 percent.
B) greater than 10 percent.
C) greater than 5 percent.
D) positive.
E) greater than 7.5 percent.
Correct Answer:
Verified
Q53: A fall in the real interest rate
A)shifts
Q54: A decrease in the demand for loanable
Q55: A decrease in the real interest rate
Q56: A firm's decision to invest in a
Q57: The quantity of loanable funds demanded increases
Q59: The demand for loanable funds curve
A)is horizontal.
B)has
Q60: A rise in the real interest rate
A)shifts
Q62: Changes in all of the following shift
Q63: Which of the following influences household saving?
I.
Q76: Households will choose to save more if
A)expected
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